Ozow And Lula Launch Integrated Funding Channel To Support SME Growth In South Africa

The partnership introduces a new funding access channel within Ozow’s merchant ecosystem, allowing eligible businesses to apply for funding through a co-branded digital interface. Applications will be assessed and fulfilled by Lula.

The move reflects a broader shift in the fintech sector, where payments platforms are increasingly extending beyond transactions to offer additional financial services to businesses.

South African SMEs continue to face pressure from rising input costs and ongoing economic uncertainty, with access to funding remaining a key constraint, particularly for businesses without established credit histories or collateral.

Ozow interim CEO Rachel Cowan said the partnership builds on the company’s efforts to support merchants beyond payments.

“Our focus has been on enabling businesses to operate more effectively in the digital economy,” she said. “This partnership allows us to improve access to funding through a channel that merchants already use.”

The integration enables Ozow merchants to view potential funding amounts based on their transaction history before completing an application, streamlining the process and reducing the need to engage multiple platforms.

David Winter said the partnership aligns with Lula’s approach of distributing funding through embedded channels.

“By partnering with Ozow, we are extending access to a large base of SMEs already active in the digital economy,” he said.

The partnership forms part of a wider trend in fintech towards ecosystem-based models, where complementary services are integrated into existing platforms to improve access and reduce friction for users.

Ozow said it will begin rolling out communication about the funding channel to its merchant base in the coming weeks.